Blake Lively and Justin Baldoni reach settlement in sexual harassment case

The year-and-a-half-long sexual harassment lawsuit between Blake Lively and Justin Baldoni has concluded. The parties signed a settlement agreement, avoiding a federal trial that was scheduled to begin in two weeks, Variety reports.

In a joint statement, the parties said: "The final product, 'It Ends With Us,' is a source of pride for everyone involved in its production. We are committed to raising awareness of domestic violence and providing support to those affected. We acknowledge the challenges that have arisen during the production process and understand that the concerns raised by Ms. Lively are valid. We remain firmly committed to ensuring that the workplace is free from inappropriate behavior and an unproductive atmosphere. We sincerely hope that this brings this matter to an end and allows everyone involved to move forward."

As a reminder, in late 2024, 38-year-old Lively filed a lawsuit against director and co-star Justin Baldoni of "It Ends With Us," accusing him of harassment on set. The actress claimed that 42-year-old Baldoni held her longer than necessary, indulged in unnecessary touching during rehearsals for intimate scenes, and once asked her about her weight—a question she, a mother of four, perceived as public humiliation. Justin, in turn, sued Lively for defamation, claiming she falsely accused him in order to "seize control" of the film.

During the investigation, Baldoni's team released footage from the set and excerpts from Lively's private messages with colleagues. In one exchange, the actress ironically described the director as "an overly sensitive boy who doesn't understand how business works." These publications undermined the actress's position: in the public's eyes, she began to appear less as a victim and more as a provocateur.

Last month, a court dismissed Blake's key lawsuit for lack of sufficient legal merit. Previously, the court had dismissed 10 of Lively's 13 claims (including harassment), leaving only three counts she could sue on: breach of contract, retaliation, and aiding and abetting retaliation. It found that Lively acted as an independent partner in the film's production, not an employee; some of the director's actions were deemed "part of the creative pursuit."

Shortly before the celebrities reached a settlement, Blake Lively's husband, Ryan Reynolds, spoke publicly about the situation for the first time. He stated that he had "never been prouder of my wife" and that the situation had only strengthened his admiration for her because she has "a integrity that shines through in everything she does." These words came amid reports that Lively's reputation in Hollywood had allegedly been destroyed and that the couple was considering moving to the UK so that the actress could "reboot" her career. At the same time, an anonymous source from Disney called Lively "one of those toxic individuals who always thinks they're right about everything."

Photo: Bryan Bedder/Getty Images for Vital Voices Global Partnership, Michael Loccisano/Getty Images, blakelively, justinbaldoni/Instagram*still from the film "It Will End with Us"/"Kinopoisk"*